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Home My WebLink AboutR-94-0186st ' dd'�'i�'si s?1.�7 '�, ,s"J}. T _4 ! eve : F r •.4 i v ,t �. ;t ?h`e'i:_l }4rtth'"L.h'b`C,7iit``5iA #h.j'Afi:• } r } eT=94-231 i � rt 3/14/94 , } 94-- 186 RESOLUTION NO. A RESOLUTION, WITH ATTACHMENT(S), ACCEPTING .s THE CITY MANAGER'S RECOMMENDATION AND AUTHORIZING THE CITY MANAGER TO EXECUTE '+ "ARTICLE 26, GROUP INSURANCE'' OF THE COLLECTIVE BARGAINING AGREEMENT BETWEEN THE CITY OF MIAMI AND THE AMERICAN FEDERATION OF STATE, COUNTY, AND MUNICIPAL EMPLOYEES, LOCAL 1907 AFL-CIO, FOR THE PERIOD OF OCTOBER 1 1993 THROUGH SEPTEMBER 30, 1995 UPON THE TERMS AND CONDITIONS SET FORTH IN ARTICLE 260 ATTACHED, WHICH IS INCORPORATED BY REFERENCE INTO SAID COLLECTIVE BARGAINING AGREEMENT. { i WHEREAS, on September 27 1993, the City.Commission ratified the Collective Bargaining Agreement between the City of Miami and i the American Federation of State, County, and Municipal Employees Local 1907, AFL-CIO ("AFSCME"), except that Article 26, Group Insurance, remained,an open article; and WHEREAS, in February, 1994, the City and AFSCME successfully r' completed negotiations on Article 26, Group Insurance; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are hereby adopted by reference thereto and, incorporated herein as if fully set forth in this f Section. Section 2. The City Manager's recommendation is hereby accepted, and the City Manager is hereby authorized to execute "ARTICLE 26, GROUP INSURANCE", of the Collective Bargaining Agreement between the City of Miami and the American Federation of State, County, and Municipal Employees, Local. 1907, AFL-CIO, for the period of October 1, 1993 through September 30, 1995, upon the terms and conditions set forth in Article 26, attached, which is incorporated by reference into said Collective Bargaining -Agreement. Section 3. This Resolution does affect or change theterms and oonditions of the labor agreement ratified by this Commission on September 27, 1993, except as modified herein. Section 4. This Resolution shall become effective immediately upon its adoption. PASSED AND ADOPTED this 24th da March 1994. STE HEN P. CLAAK, MAYOR ATTE MATTY,.HIRAI, CITY CLERK PREPARED AND APPROVED BY: RAMON IRIZA I ASSISTANT T TTORNEY APPROVED AS TO FORM AND CORRECTNESS: A( Q NN J N S, I I I "CITY ATTO Y M4199/RI f/bss _ 186 -2- k A reed Upon Proposal f y 02/18/94, Reopener, ARTICLE 26 1 GROUP INSURANCE 1 26.1 The City agrees to pay 100% of the current life insurance coverage and accidental death and dismemberment coverage of $15,000 provided for employees. r 26.2 Effective as soon as possible after ratification of this Article, employee premiums shall be tax exempt under Section. 126 of the IRS code. In the event this exemption is eliminated In the IRS code during the life of this agreement, Art IcIe'26 shall be reopened and the parties shall meet to negotiate any changes necessitated by the loss of the tax exemption. 26.3 The City and the Union agree to expand and modify the current self-insurance Indemnity health plan to a City self - Insured Point of Service plan and a City self -Insured closed HMO plan. 26.4 The pay period In which the payment of health Insurance premiums on a pre-tax basis Is Implemented, employees 1 i will contribute $20.00 per pay period toward the cost of employee health e coverage or $98.00 per pay period toward the cost of family coverage, where the employee elects to take such coverage fora point of service plan. 26.5 The pay period in which the payment of health Insurance premiums on a pre-tax basis is implemented, employees shall contribute $10.00 per pay period toward the cost of employee health coverage or $50.00 per pay period toward the cost of family coverage, where the employee elects to take such coverage for the closed HMO plan. 94- 186 1 26.6 Plan design and all plan benefits shallbe those outi:lned within ;the employees benefits handbook and shall not be . changed without mutual agreement of the City and the Union. : 26.7: As modifications to the current` self insurance program will make the plan more efficient and reduce the total cost of providing employee health care, the City agrees to share. the projected savings by Increasing the base wages of active bargaining unIt_empIoyees by two and one half (2.5%) percent effective the first full pay period following October 1, 1994.` 26.8 A standing committee will be created called the Health Insurance Committee. It shall be made up of five (5) City of <Mlami employees, one member appointed by the IAFF, one member appointed by AFSCME, two members appointed by the City Manager and one picked by mutual agreement of the IAFF, AFSCME and the City Manager. The Group Benefits Administrator shall serve as a technical advisor to the committee, but will not be a 4 member nor have a vote. r. The committee shall meet monthly or as needed to review employee complaints, suggestions, etc. The committee sha11 have the authority by majority vote, to remedy situations concerning claims, so long as the decision does not change the current benefits. The committee may make recommendations on benefit changes that would save the plan(s) money, to the City and the Union for immediate consideration of the parties. The committee is Intended to reduce the need for the grievance procedure and to suggest new ideas in providing a better and more efficient health Insurance system. The parties .94186 Y 3 1 agree, however, that employees bringing complaints to the 4 COMM lttee shall be entitled to use the grlevance procedure if the committee's remedy, if any, is not satisfactory to the employee: { .. 28.9 The City shall continue to make available to the f r.j ` Union a'payroll deduction slot to purchase local Union sponsored Insurance programs. Upon receipt of appropriate authorization from employees, the .Ci'ty will make the designated deductions and forward monies ` to the Union. The City shall deduct from that remittance an amount for the cost of these deductions. The amount will be calculate at two cents for each employee deduction, each payroll i` period, and ten cents for each addition, deletion, or 1' mod Lficat ion to the Individual deduction. The Union shall indemnity and hold the City, its officers, officials, agents and employees harmless against any claim, demand,suit or Ilabiiity and for all legal costs arising from any- .action taken or not taken by the City, its officials, agents } and employees in executing this activity. The Labor Relations Officer wlII advise the Union of the deduction procedures that will be followed in the Implementation and administration of this activity. ON BEHALF OF THE { .CITY OF MIAMI MIAMI; FLORIDA ` Cesar H. Odlo Date City Manager -4- 18.6 f i r: t V R i i ON BEHALF OF AFSCME,.' LOCAL 1907 jjikl t 1 J i t ti 1 Charles Cox Date President 94- 186 CiTY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM 221A... Honorable Mayor and Members TO : GATE :' FILE of, the City Commission SUBJECT : Resolution Authorizing the City Manager to Sign -off on Group Insurance Articles of �� ' I, •"I �' i the IAFF and AFSCME Labor Cesar!H. Ogtio FROM ��'I�;`C I ty� Manager ' REFERENCES Agreement ..i• ,J ENCLOSURES: RECOMMENDATION It is recommended that the City Commission author.lze the City Manager to sigh off on Article 26 - Group Insurance of the Miami General Employees American Federation of State, County, and Municipal Employees, Local 1907 (AFSCME) collective bargaining agreement and Article 17 - Group Insurance of the International Association of Firefighters Local 587 (IAFF) collective bargaining agreement adopted by the City Commission on September 27 1993. BACKGROUND - As, previously ratified by the City Commission on September 27, 1993, the. City and the AFSCME, Local 1907 and IAFF, Local 587 agreed to a two year agreement with the exception of the Group Insurance article. The Group Insurance articles of both collective bargaining agreements were successfully negotiated on February 22, 1994. Both of the Group insurance articles provide for the modification of the current self-insurance indemnity health plan to a City self -Insured Point of Service Plan and a City self -insured closed HMO plan. In addition, health insurance premiums will be paid on a pre-tax basis. The implementation of the Point of Service Plan and the Closed HMO Plan will result in a projected savings of $3 million for fiscalear 1994 and $5 to $7 million for fiscal year 1995. As a result of Lthe agreed upon modifications to the City's self - Insurance program, thereby making the plan more efficient and reducing the total cost of providing employee health care, the City has, agreed to Increase the base wages of bargaining unit employees by 2.5% effective October 1994. The cost of the wage Increase will be $1,743,050. The 2.5% base wage increase is in addition to the previously agreed upon 1% across-the-board increase effective October, 1994 ratified by the City Commission on September 27, 1993. 94- 186